ETF Store President Nate Geraci provided information about the factors that will increase the likelihood of the US Securities and Exchange Commission (SEC) approving XRP ETF applications. Asset managers such as Bitwise and Canary Capital have approached the institution to offer this fund and want to offer institutional investors the opportunity to invest in XRP.
Elements That Will Increase the Chances of Success
In his statement on the Thinking Crypto podcast, Geraci stated that Donald Trump’s victory in the US presidential elections in November will increase the chances of the SEC approving XRP ETFs. He stated that if Trump is elected, this will increase the odds as he has promised to create a more crypto-friendly environment in the United States.
Geraci emphasized that Trump’s election would increase the chances of these ETFs hitting the market, but this does not automatically guarantee approval. He underlined that the current administration has a negative attitude towards crypto.
Nate Geraci: “A Trump win could increase the likelihood of ETFs launching, but it doesn’t mean a definitive endorsement.”
Challenges of Approval
Geraci noted that even if Trump wins, it will not be easy for the SEC to approve the XRP ETF. He stated that it is a problem that there are currently no XRP futures contracts traded on CME. This situation, Bitcoin 
$65,645 and Ethereum 
$2,611 This is a significant shortcoming for XRP Coin, as it allows its ETFs to be launched thanks to the existence of the CME futures market. Perhaps the process for CME transactions should be advanced first. Because the price followed by approved ETFs is fed from here.
SEC approved Bitcoin and Ethereum ETFs, ruling in the Grayscale case that futures and spot markets are interconnected. However, XRP’s lack of a futures market makes confirmation uncertain.
Nate Geraci: “I think futures markets are necessary because of the way the SEC operates.”
He also stated that the SEC would seek a custody sharing agreement to approve this fund to prevent market manipulation. Another problem is that not all exchanges where XRP is traded are regulated.
The ETF Store President argued that the best path forward for the entire industry is for Congress to create a regulatory framework that clearly spells out which crypto assets are securities.
Ripple on the other hand 
$0.545542 The manager doesn’t really care about Trump. Instead, he supports the other side. Ripple co-founder Chris Larsen announced that he supports Kamala Harris for her understanding of the innovation economy. At the same time, $1 million worth of XRP was donated.
Chris Larsen: “Kamala Harris’s innovative economics is the reason why she is our supporter.”
The SEC’s approval of the XRP ETF remains a complex process given the current regulatory environment and market conditions. Investors should closely monitor policy changes and possible regulatory developments.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that crypto currencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
